I have been giving the tremendous task of evaluating whether the Yuan is undervalued relative to the dollar, how that might change, what effects that might have, and what we should do about it. You may find me in front of Congress testifying. Actually that's highly unlikely, but a person can dream, right?

So far I've concluded this: The policy with the least pain for everyone is for the Chinese government to spend more on healthcare and develop more health insurance programs. This is unlikely to happen. Instead, pollution will just drive their healthcare costs even higher, reducing consumption, increasing the trade imbalance, and eventually killing the world after they burn so much coal that the oceans turn so acidic that you instantly dissolve on contact.